Ratch pulls out of JV for Cambodia power plant
Ratchaburi Electricity Generating Holding will cancel its joint-venture agreement with KK Power to build a 1.8-gigawatt coal-fired power plant in Koh Kong province of southwestern Cambodia. Pongdith Potchana, chief executive of Ratch, said yesterday that the company had revised the plan after its analysis indicated that it would face difficulty selling the output back to Thailand and that it might have to wait for up to 14 years before it could do so. … “We believe that Egat will not install the 300-400 kilometres of transmission lines to connect with the planned Koh Kong plant in order to buy electricity to feed the area when it will have sufficient power supply,” he [Pongdith Potchana] said. The Koh Kong plant would have to serve mainly Cambodia, but from the company’s evaluation, demand there might not be enough to make a 1.8GW plant commercially viable. This made Ratch review the plan and think that it should not move ahead with it. The company will advise KK formally in writing of its wish to withdraw from the project. Pongdith believes that the Cambodian side will understand the reason. …
